The United Kingdom of Great Britain and Northern Ireland, is a sovereign state in Europe. It shares a land border with The Republic of Ireland, apart from this border, the UK is surrounded by the Atlantic Ocean. With its proximity to the European Union and its double taxation treaties, UK companies have an edge in the world of commercial and financial business.
The UK is a well establish as one of the popular Commercial and Financial Centres of the World and being a signatory to over 100 different treaties, it has many trade advantages.
A UK LLP’s structure shifts the tax burden of the LLP to its members. The UK LLP is not regarded as a separate entity for the purpose of taxation, members are only required to pay taxes on income sources from the UK. Foreign profits are subject to taxation in the members’ home country of residence and are then not subject to any UK Tax.
- No Local Taxation if business and Member residence is outside the UK
- Access to European Markets
- Fast Registration Process
- Low Company Costs
- No Partnership Agreement required (Although Recommended)
- Audit Exemption for small companies
- No Capital Requirements
- Beneficial owner’s information is confidential
- Nominee Services are available
- Liability of members is limited to contributed capital
- Legally separate from its members
- Members taxed individually on profits
- Tax is based on location of activities and residence of Members
- Corporate Members permitted
- International Professional Services Company
- International Commercial Activities
- International Trading Company
- Flexible Tax Structuring
A UK Limited Liability Company is restricted from conducting business in Banking, Trusts, Insurance, Forex or other Financial Services, as well as providing Company Management Services.
To form a LLP in the UK, proposed Members (Individuals or Companies) must submit the proposed name of the LLP. The names, address and details of each member need to be submitted, as well as the names and details of all beneficial owners (Confidential) as well.
A compliance statement confirming that the Partnership is being established to conduct lawful activities and with the intention of creating a profit.
It is recommended to have a Company or Partnership agreement, though it is not required. An agreement outlining the rules regulating the LLP and detailing the powers, is beneficial if the default provisions in are not aligned with the interest of the LLP.
|Company Type||Limited Liability Partnership (LLP)|
|Country Law||Common Law|
Limited Liability Act 2000
The Income and Corporation Taxes Act 1988
|Registered Office Required||Yes|
|Local Registered Agent Required||No|
|Shelf Companies Permitted||Yes|
|Migration Of Domicile||No|
|Average Time To Form Company||1 to 2 Business Working Days|
|Minimum Government Formation Charge||None|
|Recurring Minimum Annual Company License Fee||None|
|Annual Return Filing Fee|
£15 GBP Electronically
£30 GBP Manually,
|Corporation Tax||No - Passed on as Income for Members|
|Access to Double Taxation Treaties||No|
Members who are resident of a foreign country and who do not derive income from within the UK, cannot access any of the Double Taxation Treaties. Access to any treaties are dependent on the Member country of residence.
|Minimum Required||Two - Members act as Directors|
|Local or Qualified Memebers||No|
|Board Meetings Location||Anywhere in the world|
|Corporate Members Permitted||Yes - One has to be a person|
|Privacy- Publicly Available Records||Yes|
There is a minimum requirement of TWO Members, of which may be either individuals or corporate bodies (if corporate body, then one must be a person) of any nationality and resident of any country.
|Minimum Required Directors||None - Can be Managed through Members or multiple Managers|
|Local Directors Required||Not Applicable|
|Records Public||Not Applicable|
|Board Meeting Location||Not Applicable|
|Corporate Directors Permitted||Can Manage as a Member|
|Privacy - Publicly Available Records||Not Applicable|
|Requirements To Prepare||Yes|
|Audit Required||Yes - Small Company Exemption|
|Keep Financial Records||Yes|
|Requirement To File Accounts||Yes|
|Requirement to File Annual Return||Yes|
|Accounts Publicly Accessible||Yes|
There are no local UK Taxes to pay if the LLP does not conduct business within the UK and the Members are not liable to pay UK Taxes either if they are not residents of the UK.
Each Member of the LLP is liable for their own income tax, which is based on their share of the profits. Members pay taxes within the country of their residence. Only earnings from within the UK are taxable.
All UK LLPs which make more than £81,000 GBP which is derived from local earnings must register for UK VAT.
There is also a requirement to file an annual return and account to the UK Inland Revenue every year, even if a company has not traded. A summary of current Members also needs to be submitted together with the filing fee.
|United Kingdom Facts|
Lies off the North-Western coast of the European mainland
|Size||Approximate area of 242,495 sq. km|
Official Language is English
|Currency||Pound Sterling GBP|
Main Industries :-
Electricity, Gas and Water Supply
Financial and Business Services
Real Estate and Renting Activities
Transport, Storage and Communications
Wholesale and Retail Trade
Road - Driving on the Left
Daylight Saving Time +1
|International Dialling Code||+44|
|Internet TLD||.uk and .co.uk|
Contact us today to enquire about the Cost of Formation or if you have further questions regarding the application process.